In a Volatile Market, Hedge Your Investments With Low-Volatility ETFs

When the market is at its most unpredictable, a really dedicated investor can find funds to gamble on that will shoot up in value. But many such funds are just as likely to shoot downward; that’s the very definition of a volatile market. etfs.png.
If you pay regular attention to your portfolio rather than sitting back and letting long-term market trends do the work for you, be sure to only put a portion of your portfolio on the line. This is your future you’re gambling on, after all. Most of your investments should remain in safe stocks, mutual funds, or their equivalent.
Low-volatility investment strategies aren’t just for hedging your bets. They also tend to climb more steadily just after a volatile market hits – when the aggressive investors take some hits in riskier categories and retreat to safer territory to lick their wounds. Since most investment strategies pivot on staying just ahead of the trend, you can beat them to the punch.
One category of fund that does predictably well in a turbulent market is the minimum-volatility exchange-traded fund (ETF). As the broader equities market becomes more uncertain, these funds, with their tortoise-beats-the-hare approach, are seeing a spike in activity.
Of course, unless you are an expert trader, trying to make decisions just ahead of the market can be like walking on thin ice. The best advice we can give is to consult with a professional financial advisor who can knowledgeably balance your short-term and long-term goals. Fortunately for you, we know a few – us! To get a better understanding of these and related topics, call us toll-free at 1-877-213-7233 or email us at info@safeguardinvestment.com.

Safeguard Investment Advisory Group